Impact investment firm Summa Equity has announced its investment in EA Technology, partnering with management and employee shareholders. EA Technology is a solutions provider headquartered in the North West that monitors and manages electricity grids and assets.
Founded in 1966 and based in Capenhurst, Cheshire, EA Technology is a longstanding pioneer in research, development and innovation in the UK electricity industry. Its leading product suite of smart grid hardware, software and services serves a global customer base across five regional offices. EA Technology’s mission is to promote the development of decarbonised, resilient, accessible and low-cost energy networks.
Gisle Glück Evensen, Partner at Summa, commented: “Transitioning from a fossil fuel-based system to renewables presents a significant challenge to today’s electricity grids, driven by rapidly increasing electricity demand, intermittency and multi-directional flows. Solving these challenges is essential to achieving energy decarbonization and presents a multi-generational investment opportunity to upgrade and modernise grid infrastructure. By partnering with EA, we aim to accelerate the roll-out of EA’s industry-leading smart grid technology in the UK and internationally, accelerating the transition to a cleaner, more sustainable energy future”.
Under the company’s existing leadership, EA Technology has experienced significant growth, reaching £48m in annual revenue in 2023 with around 300 full-time employees. The company is well-positioned in several markets through its leading product portfolio, industrial know how and unique cross-disciplinary competence. Through Summa’s investment, EA can enhance its capabilities and accelerate the delivery of its products and solutions to the market on a larger, global scale.
Robert Davis, Chairman and CEO at EA Technology, commented: “Our partnership with Summa will help us scale and enhance our offerings, ensuring we remain at the forefront of smart grid technologies. This investment aligns perfectly with our mission to support the energy transition and drive innovation in the sector. With DSW and Hill Dickinson, we had an absolutely first-class team that helped us successfully navigate a complex process”.
Investing from its EUR 2.3bn Summa Equity Fund III, the investment leverages Summa’s established history of enhancing portfolio companies’ strategies for value creation, aiming to drive sustainable growth and address critical global issues. The acquisition of EA Technology aligns with UN Sustainable Development Goal (“SDG”) #7 by providing solutions that ensure affordable, reliable and modern energy services and SDG #9 through increasing the resilience of grid infrastructure.
Dow Schofield Watts Corporate Finance, comprising Mark Watts, Gregg Pendlington, Dan Walker, and Callum Sellar, were lead advisers to EA Technology’s shareholders.
Mark Watts, partner at Dow Schofield Watts Corporate Finance, commented: “It was an absolute pleasure supporting the management team in achieving their ambitions of investment for EA’s next stage of growth.
EA has developed genuinely world-leading solutions for real-time monitoring of the electricity grid, for which there is a substantial and growing need globally given the rapid decarbonisation agenda that touches every industry. It now has a very strong and aligned partner in Summa”.
A Hill Dickinson team of Jonathan Brown, Elan Iorwerth, Ben Correia de Sousa, and Joseph Reade provided legal advice to the shareholders. An RSM team of Colin Smyth, Tim Douglas, and Martin Cooper provided tax advice.
Elan Iorwerth, partner at Hill Dickinson, commented: “We were delighted to work alongside Robert and the wider EA Technology team to guide them through each step of this momentous journey. The sale of this employee-owned company represents years of hard work, and this is the next exciting chapter in the Group’s growth ambitions”
Summa Equity was advised by McKinsey & Company (CDD), Deloitte (FDD), Kirkland & Ellis (Legal), EY (Tax), and Cambridge Consultants (Tech).
From L – R: Robert Davis, Chairman and CEO at EA Technology, Gisle Glück Evensen, Partner at Summa Equity, and Gustav Lindberg, Investment Director at Summa Equity
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